The drought is prompting a new way to build neighborhoods. The city of Reedley just approved a development that features the latest water-saving techniques.

The plans for Kings River Village on the east side of Reedley feature what looks like the ultimate in modern urban planning.

"There's seven live-work units, which means commercial on the bottom with a loft living on top. You've seen that down in Fresno," Reedley City Manager Nicole Zieba said. "We have 64 detached single-family homes, 70 single-family homes that are townhomes, and then about 120 apartments and 80 independent senior care living residences."

The 40-acre development will be built with water recycling in every living unit. There will be no yards, but a common green space. Zieba says water use will be minimized.

"The beauty of being in a drought right now is we really are focused in on the most water-efficient and eco-friendly planning we can do in a development," said Zieba.

The plan for the village won unanimous approval from the Reedley City Council, but has raised concerns from the Consolidated Water District, which is just outside the boundaries of the proposed 40-acre development. By phone, Water District Manager Phil Desatoff told Action News despite water-saving features, any new development will deplete the groundwater supply.

"Every time you approve a project like that, it increases that groundwater overdraft. It's been happening for decades, and that's why we are in the position we are in," said Desatoff.

But Zieba maintains developments that use water responsibly are more realistic than not allowing any growth.

"Unless California seals its borders, we know California is gonna grow. So if we are going to grow, let's grow in the right way with a modern, very eco-friendly planning design," said Zieba.

Supporters of the project say turning these 40 acres into businesses and more than 300 housing units will actually use less water than when it was a farm field. They are also hoping, by the time it's built in several years, concerns about dealing with the drought will have eased.